Society's News

Corporate Members 2022

3PB Albion Chambers Ashfords Barcan + Kirby Beale & Co Bevan Brittan BLM Burges Salmon Clarke Willmott CMS CMNO DAC Beachcroft The Family Law Practice Foot Anstey (including Enable Law) Freeths Fussell Wright GL Law Guildhall Chambers Irwin Mitchell Solicitors Lyons Davidson Marc White & Co Meade King Osborne Clarke Paragon Costs Solutions Queen Square Chambers Royds Withy King Simmons … more

BLS features in Bristol Post oldest thriving companies in Bristol

Excerpt from the article: How Bristol’s oldest companies are still thriving after more than 100 years in business They include the city’s last-surviving chocolate maker a wine merchant and a tannery. Why do some companies struggle to survive beyond a year while others flourish for hundreds? Although more than 90 per cent of small companies in Britain will survive one … more

BLS Annual Awards Dinner 3rd November 2022

Check out our digital Awards Brochure with a welcome from our C0-Presidents, full details of the award categories and links to our wonderful supporters who make this event possible. We look forward to celebrating the best of the local profession with you on 3rd November! BLS Awards 2022 Digital Brochure Nomination Brochure 2022 Nomination Online Submissions Booking Form 2022

Net Funding Requirement

The  Law Society’s Council will, at its next meeting on 11 July consider Net Funding Requirement (“the NFR”) for the period commencing 1st November 2013.


The NFR is the sum of the revenue and capital budgets proposed  for the operation of the Society, the Solicitors Regulation Authority, as well as the cost of providing shared services supporting the work of the SRA and the Society (eg  finance, payroll, IT etc) termed Corporate  Solutions.


The  papers  setting out the details of those budgets will be posted on the Society’s website  


If you have any views on this, please communicate them to the local Council Member, Ian Kelcey.


Council will at the same meeting be asked to approve the SRA’s recommendations for  the Compensation Fund contribution rate.


This year the Society was anxious,  given the  challenging economic conditions facing all parts of the profession, to ensure that the costs imposed on the profession were the minimum required whilst remaining prudent.  It was our working preference that the group’s budget should be flat (2014 v 2013).


As you will see from the paper, the Board of the SRA have concluded that an increased budget is necessitated because of the regulatory demands on the SRA, albeit, that the proposed increase  in their net expenditure budget from £37.010m in 2013 to £47.314m in 2014 will largely be funded by meeting the costs of possible interventions from monies currently held within the Compensation Fund.


For the Society its revenue budget will be flat or fall marginally from the previous year and its capital budgets will be reduced .  Broadly  similar arrangements will apply to the revenue elements of Corporate Solutions with an increase in capital budget (IT investment)  above last year’s spending.


It is also thought appropriate that provision is made within the NFR to begin to build the funds necessary to meet the liabilities the profession carries in this the final year of the Assigned Risk Pool.


As you may recall, when the decision was taken to close the Assigned Risk Pool, part of those provisions provided that the Society would meet the first £0-10m of claims and expenses,  with the qualifying insurers meeting the next £10m tranche, the Society being liable  to meet the tranche between £20-30m, the qualifying insurers £30-40m and the Society £40-50m with any costs above that figure falling to the qualifying insurers.


It is considered  unlikely that the costs and claims for the ARP will exceed £50m. It is considered more  likely that the costs and claims expenses (which will emerge over many years)  will be between  £10m-£20m.


The Society proposes to levy £5m to meet this developing liability and any emerging costs during the current financial year.


The Society also believes it prudent to begin the rebuilding of reserves following a £20m net outflow from the Society’s reserves last year to fund  emergency expenditure for PC renewal, and the cost of financing the move of the  SRA to new  premises in Birmingham.


The attached schedules provides a summary of the possible costs payable by firms or individuals if the proposed NFR and Contribution rate  were adopted.


The Society will invite Council to establish a medium term policy from November 2014 for a 3 year term, whereby the costs will inflate each year by RPI -1.5% to drive out value from the recent investments the Society’s members have  funded across the Group,  and to deliver a “OFR – dividend” as the benefits asserted as part of the reasons for introducing OFR should begin to emerge.


Council faces an important responsibility in setting  the NFR  which is then submitted for approval by the Legal Services Board.